Upstart (UPST) reported its 1st Qtr. 2023 today (May 9) and investors received surprising news.
Upstart announced that they have secured long term funding agreements of $2 billion to help them more loans in the upcoming year.
The news is great because investors were worried that Upstart would have to start carrying more loans on their balance sheet.
The actual results for Q1 2023 were not good especially compared to Q1 2022 as revenue and earnings were down significantly (over 70%) over the 12 month period.
Investors were ecstatic to hear about the funding arrangement which caused the company to close above $20 ($20.05) in after hours trading. The stock closed at $13.38 on May 8th representing a 50% increase if you include after hours trading.
Upstart is still down -40% approximately over the last 12 months, but if it can continue to have days like today along with the increased visibility for the future we may be looking at a reversal of recent fortune.
Today's move means that Upstart (UPST) has gone above our 12 month price target for the company. If you would like to continue to receive timely analysis, rankings, and projections to help you invest please feel free to subscribe.